concluded in that case that the said assessee had a
permanent establishment [PE]in terms of the double taxation avoidance
agreement with India. Based ... company had a permanent
establishment in India and therefore taxable presence in India. He, thus,
held that the profits/income attributable to PE in India
यथ /
(International Taxation)
Respondent
Range-2(1), Mumbai
थायी लेखा सं./ Permanent Account Number - AAACV3294Q
राज व क ओर से / Revenue by : Ms. Neeraj Pradhan ... account of
attribution of
profits to 63,25,580 36,23,371 40,09,360 8,76,559 36,06,267
Permanent
Establishment
other being
alternate, is the determination as to whether a permanent establishment of the assessee-
company, within the meaning of the term as defined under ... words "permanent establishment" postulate the existence of a
substantial element of an enduring or permanent nature of a foreign
enterprise in another, which
assessee has a Permanent Establishment (hereinafter referred to as
the "PE") in India and the above income is attributable to such
debited to the Audited Profit and Loss Account of the
India Permanent Establishment ('PE')
1.1.On the facts and in circumstances ... debited to the Audited Profit and Loss Account of
the India Permanent Establishment ('PE')
1.1.On the facts and in circumstances
business connection in India or had a permanent establishment in India,
accordingl y no business accrues or arises to M/s IBS L in India ... company IBS L had no business connection in
India or a permanent establishment in India and in the circumstances, the
payment
contended that it did not have any Permanent Establishment (PE) in
India within the meaning of article 5 of the agreement for Avoidance of
Double ... that a major part of the business activity of the appellant is
attributable to its PE in India. Accordingly, he held that 75% of profits
returned income of Rs.
19,718,810.
2. CREATION OF PERMANENT ESTABLISHMENT ("PE")
2.1 That on the facts and circumstances of the case ... joint venture company.
Regarding the fact whether the assessee has a Permanent
Establishment (PE) in India, the observation of the AO are summarized
below
case in proceeding with the
assumption that the appellant has a Permanent Establishment
('PE') in India and hence the appellant is liable ... basis that total
profits on revenue received from India, without any
attribution of profits to Indian operations carried out by its
liaison office in India
page 3 of the
Order.
2 - Can VMSIPL be treated as Permanent Establishment (PE) in India for the
sale of equipments by the parent / group ... companies and bring to tax in India
purportedly proportionate amount of income attributable to so-called PE in
India?
3. Calculation of income attributable
